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AMENDMENT NO. SIX TO FIRST AMENDED AND RESTATED
BUSINESS LOAN AGREEMENT
This Amendment No. Six to First Amended and Restated Business Loan
Agreement (this "Amendment") dated as of March 26, 1997, is between Bank of
America National Trust and Savings Association (the "Bank") and Reliance Steel &
Aluminum Co. (the "Borrower").
RECITALS
A. The Bank and the Borrower entered into a certain First Amended
and Restated Business Loan Agreement dated as of June 26, 1996, as modified by
amendments dated as of September 25, 1996, September 27, 1996, October 1, 1996,
February 1, 1997, and March 19, 1997 (as amended, the "Agreement").
B. The Bank and the Borrower desire to further amend the Agreement.
AGREEMENT
1. Definitions. Capitalized terms used but not defined in this
Amendment shall have the meanings given to them in the Agreement.
2. Amendments. The Agreement is hereby amended as follows:
2.1 Subparagraph 1.1(a) is amended and restated in its
entirety to read as follows:
"(a) During the availability period described below,
the Bank will provide a line of credit ('Facility No. 1') to
the Borrower with a within line facility for standby letters
of credit. The amount of the line of credit (the 'Facility No.
1 Commitment') is One Hundred Twenty Five Million Dollars
($125,000,000)."
2.2 Paragraph 1.6 is amended in full to read as follows:
"1.6 Letters of Credit. This line of credit may be used
for financing standby letters of credit with a maximum
maturity of up to one hundred eighty (180) days after the
Expiration Date. The amount of letters of credit outstanding
at any one time (including amounts drawn on letters of credit
and not yet reimbursed) may not exceed Fifteen Million Dollars
($15,000,000).
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The Borrower agrees:
"(a) Any sum drawn under a letter of credit
may, at the option of the Bank, be added to the principal
amount outstanding under this Agreement. The amount will bear
interest and be due as described elsewhere in this Agreement.
"(b) If there is a default under this
Agreement, to immediately prepay and make the Bank whole for
any outstanding letters of credit.
"(c) The issuance of any letter of credit and
any amendment to a letter of credit is subject to the Bank's
written approval and must be in form and content satisfactory
to the Bank and in favor of a beneficiary acceptable to the
Bank.
"(d) To sign the Bank's standard form
Application and Agreement for Standby Letter of Credit.
"(e) To pay, upon issuance of each letter of
credit, a per annum issuance fee equal to 0.875% of the face
amount of such letter of credit.
"(f) To allow the Bank to automatically
charge its checking account for applicable fees, discounts,
and other charges."
3. Representations and Warranties. When the Borrower signs
this Amendment, the Borrower represents and warrants to the Bank that: (a) there
is no event which is, or with notice or lapse of time or both would be, a
default under the Agreement, (b) the representations and warranties in the
Agreement are true as of the date of this Amendment as if made on the date of
this Amendment, (c) this Amendment is within the Borrower's powers, has been
duly authorized, and does not conflict with any of the Borrower's organizational
papers, and (d) this Amendment does not conflict with any law, agreement, or
obligation by which the Borrower is bound.
4. Effect of Amendment. Except as provided in this Amendment,
all of the terms and conditions of the Agreement shall remain in full force and
effect.
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This Amendment is executed as of the date stated at the
beginning of this Amendment.
BANK OF AMERICA NATIONAL TRUST
AND SAVINGS ASSOCIATION
By: /s/ DONALD G. FARRIS
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Donald G. Farris
Title: Vice President
RELIANCE STEEL & ALUMINUM CO.
By: /s/ DAVID H. HANNAH
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David H. Hannah
Title: President
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By: /s/ STEVEN S. WEIS
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Steven S. Weis
Title: Chief Financial Officer
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